Morning Oregonian. (Portland, Or.) 1861-1937, January 05, 1907, Page 4, Image 4

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    the MORXiNd OKfcCO.VUV, lTURDlt. JAXtTlRV -5. 190T.
urihn holds
fiLL IN HIS POWER
Absolute Control of Railroad
and Steamship Lines
Is Shown.
IMMENSE DIVIDENDS PAID
Ovm T!nnrl Mnst rrnfltalllC III
Whole System JSiar-ilTt Tt'soci ..to. --
SfCiirf Control or Other
Roads In Kast.
Pacific and Southern f-aciflc railroads.
There also Tvas offered in evidence a
ttateme-nt showing that the Oregon Short
Line voted . majority of the lock Rt each
meeting Of the Southern Facilic since
April 18, 1551
Mr. Millar would not admit the state
ment was correct. saying he did not
toep the books. The statement, went in,
however, under stipulation of counsel,
f alls Theni Four I aerifies.
:' The by-lavs of tho I'nlon Pacific, South-
rn Pacific, the Orea-on Short Line and
the O. Ft- fc IJ . Co. we re n-eac t offred i t
evidence. The lour companies were gen
rally referred to during the progress of
the hearing as the "four Pacifies."
w. v. S. lhome and A. I-C. Vande-
YCHter appeared as directors oi me coum.
em Paclfle. but not of the Union Pacific,"
aaid the attorney. '"Who are they?"
"Mr. Thorne Is director of purchases of
th fOUr companies, and Mr. Vandeventer
is assistant treasurer of the southern Pa-
;-iHo.
"TlV tour Pacific occupied offices m
the same buUdlnit at 120 Broadway. 'eW
York. The principal offices are the same,
hn r Homn lii-nartnientn are separate."
The Witness was called on to- identify
uh vere ofterod
various documents whU'
, In evidence. smonR these belnfr proxy
ss
an
felanks uliowinv Hint President Harrl
Vlre-Preuldent Corniali and one other
voted" the majority of the stock 0t the
meetings of the Southern Paclflp suwe
r4iient to that company acquisition by
the Union Pacific or Oregon Short I-ine.
Mr. Millar by direction read from trie
minutes of a rneetinsr of the Union Pa-
ciTic directors, the entry n which certain
directors were named to be voted for t .
a forthcoming rnminR ot the etocKhow-
era of the (Southern Pacific.
Asked who gave the names of the di
rectors to be printed upon the proxies
he sent out before each meeting of the
Southern Pacific, the witness could not
recall.
"Did you consult Mr. Harrltnan about
them?" he was asKed,
'T don't think ?o." replied Mr. Millar.
Considerable time was here taken up
In the production of transcripts of records
of meetings of the Union Faclflc Com-
parfv. which mostly had to do with the
arranKementa for th purchase of the
Southern Pacific stock early in 1901.
Joint Control of Alton.
The Chicago Alton Railway was
drawn Into the inquiry by the reading of
Rn extract from the record or proceed
ings of the executive qommittee. of the
Vnion Faeino. This -showed that Sptem
Toer 29. 1 Di H . Mr. Harrlman reported he had
bought 103,431 shares ot the preferred cap
ital stock of the Chicago & Alton Com-
pany and his act was approved.
The executive committee of the Union
raeiflc authorized Mr. Harrlman to enter
Into a. contract with Y. B. of the
Chicago. Rock Taland & Pacific Railroad
by which lie stocks held In t lie Chlcano
& Alton by the Union Pacitic and the
Rook Island should be pooled find depos-
ited with the Central Trust Company, of
JN" w York.
"The purpose of the contract, said Mr.
Kellogg, "was to maintain joint control
. of the Chicago & Alton, the Union Pa
cific to have control one year- and the
Rock Island the next year alternately.
The.Ueds party deposited 4O,0C0 shares
of preferred stock and Co.OAO shares of
-o m rn on stock. Tlie contract bcKan Oc--Tobcr
4. WM. and had a life of 30 years.
It is admitted to be in full force at the
Kosent time."
"How did the T'nlon "Pacific obtain the
funds to buy this Chicago .. & Alton
stoc-KT' Mr. Millar was asKed. " N
"I do not know, unless It was out of
the current assets."
The Union X'aei flc still owns the
stock?"
"Yes." .
Mr. Millar said he hud served one year
as secretary of the Chicago & Alton Tlail-
way, during- which time the other officers
were practically the same as those of the
union Pacific.
Deal AVHh Clark's Ttoatl.
Counsel for the Commission introduced
" In evidence copies of stockholding and
rate sfireements between the Union Pa
cific and the Ban Pedro, Los Angeles &
fait lake Railway, executed by E. II.
Harrlman and W. A. Clark, as represen
ts tlv-es of the two systems. Mr. XCellog-
read from the tariff agreement, which
had ft life of M years, and in which the
San Pedro Company agreed to maintain
the same rates as charged by the South
ern Pacific. Company, Mr. Iane ex-
pressed surprise that the contract should
be for such a Ions time.
"And you must remember," rejoined Mr.
KelloKK-. "that the rates to be maintained
are those of the Southern Pacific Rail
way, which, as far as known, does not
i wn a share of stock in the San Pedro
Company."
William Mahl, controller of the Harrl
man line?, was called just before the
luncheon recess, and asked some technical
questions as to his various duties.
Mr. M-ilil said the majority of stO'.K of
he Pacific Mall Steamship Company and
th line between Galveston. New Orleans
nf New York Is owned by the Southern
Pacific Company. The Union Pacific Kail-
vrnty owns the steamships Manchuria and
Mongolia, he said. The Orejron Railway
A Navigation Company owns no ships'.
but owns the Portland & Asiatic Steam-
ihip Company, which -charters steam-
chip, the witness aid.
"What has become of the line of steam.
. ehlps that was operated between Port
land, Or., and San Francisco?" the wit
ness was akd.
Portland Steamers All Sunk.
"I read In the newspapers that the boats
belonjcinff to that line were sunk."
Resolutions passed by the Union rarific
Company to the effect that the Oregon
Short Line ana the Oregon Railroad &
Navigation Company were not competing
and parallel lines were put in evidence
after tiey had been identified by Mr.
Millar.
After recess Mr. Mahl identified a state
ment showing purchases of railway stocks
1 the fnion Pacific and Oregon Short
Line since July 1 last. .
The statement showed that the Union
Pacific had bouaht $23,123,100 worth of
etucka of th Illinois Central Railway out
of a total issue of W-W.wo, th Union Pa.
clnc's holdings being: 29. 5 per cent of the
whole. The Cnlon Pacific also bought
more than JS.OOO.noo or St. Joseph A
Grand Island common, first and second
referred stock, these holdings amounting
37.37 per cent of the whole cepitalixa
on of the road.
The Oregon Siiort Line, during the last
ix months, bought $32,000,000 of the com-
ion stock and T. 00.000 of the preferred
lock of the Baltimore A. Ohio Railroad
company, the two purchases representing
18.62 per cent of the road's capitalization.
The Oregon Short T.lne attso bought $14.
000.000 of Tew York central & Hudaon
River Railroad Company, or 7.97 per cent.
Purchases also were made of large Mocks
of stock In the Atchison. Topeka A Santa
K'.' Rallwfly Company, amountlns to 7-61
per cent ot the total; of Chicago, Mllwau-
kw & St. Paul amounting to J.2 per cent
or the whole and of the Cliirago &. North
wostero a. rn ountlng to 3.32 per cnt of ttio
whole.
Where the Money Came-From.
Mr-. KriRpp asked " for th exxet
date of the 111 inois Central purchase, but
Mr, Matil could not give It He said he
thought some was bought in July and
some was
September
bought in
r October.
Mr. Lovett said h
wished it understood
that of the mm ot Illinois Central
stock down on the statement as belonging
to the Union Pacific. n.SOO.OOO was really
held by the Railroad Securities Company,
the Mock or which was held by the Union
Pacific. Mr. Mahl was asked where the
Unton Pacific got the money to buy the
stocks related.
He saUi the report ot June 30 laat
showed a surplus of $51,000,000.
"Where did the Oregon Short "Line
get the money to make its purchases?"
"Current assets. I think."
rld the "Union Pacific or the Oregon
Short J . 1 11 e borrow money to make the
purchases?"
Xo. I think not."
Old the Orescon
idend of SO per
"Old the Orogon Short Line declare
dividend of SO per cent on its nto
Held by the Union Pacific, and thereby
nearly wipe out Jts H6.000.000 surplus?"
"That was an accumulated dividend.
and tie surplus was a surplus of opera.-
t!on not from the sale of securities."
The witness said the Union. Pacific
held stock in the Pacific Mu.il Steam-
ship Company,
Salaries
He was as)
Salaries Are Apportioned.
He was asked whether Mr. Stubbs,
director of traffic at Chicago for the
Union Pacific- Railway, did not also act
for the Southern Pacific, the Oregon
Short Line and the Oregon Railway &
Navigation Company, and said he did.
"Iow is his salary apportioned?"
"J t is salary, as well as 'that of th
other representatives of the lour com'
panies. Is divided among the com
panies according to the gross . receipts
of the company."
"Who employed you?"
"The cha Irman of the board."
"You mean Mr. Harrlman,
you?"
t
"Yes."
"Your salary is apportioned?"
-Yes.'
"Who directed you as to ttit method
of apportioning: of salaries?"
"1 don't just know.""
".Did Mr. Harrlman?"
"1 don't know that he did."
"Well, who directed you as to the di
vision of other salaries?"
"My Impression Is that it was done
through Mr.
Young:, the general audl-
tor.
Mr. Lane wished
to Know whether
there had been any resolutions of the
board of directors authorizing: the pur
chase of stocks shown In evidence.
Counsel for the commission said such
resolutions had been passed and would
be Introduced.
Mr. Mahl was Instructed to bring be
fore the committee tomorrow the state-
ment he prepared for the directors of the
t'nlon Pacific and on which they de
clared a dividend last August. J-f o
agreed.
Short Iiinc ana 0, R, & s, Dividends,
"How does the monev earned
by the
O re K o li Short Line rornpany an3
renon fcrhort i-ire t ompanv and the .
R- & 2. Company come into the treasury
rt. Ac is . Company come
ol the Union Pacifier
"In the shape of divl
"Out or these divldenc
surplus earnings and oi
"In the shape of dividends. "
"Out of these dividends, then, out of the
surplus earnings and out of the dividends
received from other stocks held by It.
the t.nion Pacific pays its dividends?"
"Yes."
"Who prepares the report for the In-
terstate Commerce Commission?"
"They are prepared In my office."
Mr. Mahl was asked what profits the
Harrlman companies had realized from
the sale of Northern Securities and
Great Xorthern stocks, which they held
in lftOI. He said the transactions had not
all been closed.
"Have there been any profits?"
"I do not know."
Mr. Mahl was directed to prepare a
statement showlnff the- cost of the stocks.
the amount received from sales and the
value of the shares still on hand.
"Then we can fisrure out very quickly
wnere mere nas been a proiit," said Mr.
Severance.
Vnion Pacific Deals In Stocks.
Mr. rarie a sited if profits had been
made by the Vnion Pacific in any of its
stork transactions.
"I can't recall." said Mr. Mahl. "If
there were any, they were probably
small.
"What Is clone with the- profltB?"
"They are subject to the Order of the
board- of directors."
"When you take Union 3facific money,
invest it in stocks and make a profit,
that profit la held subject to the pleasure
or the directors?
"I think so."
"As a matter of fact didn't the Union
Pacific buy these Alton and other shares
out of the profits derived from sales of
the Northern Pacific and other- stocks of
that group? '
"From these and possibly others1
"Hhv you any entry on the books that
would show?"
"I believe not; we merely have the cash
transactions;
'You were recently comptroller of the
Chicago or Alton .
I nave been sot sir.
Pacific Mall lias Same Officers.
Mr. Millar- was then recalled. He was
asked to srive the officers of the Pacific
Mail Steamship Company. He said that
E. H. Harrlman Was president and that,
generally speaking, the officers were the
same as those of Vie Union Pacific.
"The accounts are kept at the Union
Pacific, offices, are they not?'1 '
"Oh. no."
"They are kopt at ISO Broadway
"Yes, the final accounts come
the direction of. Mr. Mfthl."
"The Southern Pacific controls the Pa
cific Mail, does it not?"
"Ves."
Tortland & Asiatic Line.
Mr. Millar was asked to read the of
ficers of .the Portland &. Asiatic Steam
ship Company. They included Mr. Har
rlman as president and other Union Fa
cific officials.
"Who ow. ns the stock: of this com
pany?"
'T do not know.'
Counsel for the Union Pacific said they
would ascertain the ownership and Rlvi
the infonhation to the commlesion to-
morrow. . The company ia a Portland
concern.
The list of officers of the Oriental
Occidental Steamship Company did not
Include Mr. Harrlman, but did include
other t nion Pacific officials.
"Does the Union Pacific control the
Oriental & Occidental?" Mr. Millar was
asked.
"It owns one-half the stock."
"Who owns the other half?""
"Mostly individuals."
"Doesn't the Southern Pacific own a
art of it?"
Tea."
"Then the Union Pacific ana the
Southern Pacific, together, control the
company?;" .
"Yes."
The
Southern Pacific owns the Mor-
gan line?"
'Tt used to be known as the Morgan
line. out the steamers tetween T w York
and rcew Orleans and other parts are now
ana -tncw uneana ana otner parts are now
known as Southern raclflc steamers. The
old company, known as Morgan' 4 Louis
tana & Texas Railway fe Steamship Com
pany, now owns but little property.
"The Pacific lines all run between San
Francisco or Portland and the Orient,
rurcimse ot Illinois Ccntrali
Mr. Miller was directed to read from
thp minutes of thn Union Pacific direc
tors an entry of July 19, 1IKK. relative to
the purchase ot the Illinois Central Rail-
road. At this meeting-, it appeared. Mr.
Wai-rlman stated he believed It -would !i
greatly to the Interest of the Union Xa-
cine to have a connection with the mi-
nols Central. Inasmuch as the Union Pa
cific had no line to the Gulf or - CJh lcaf;o.
The declared value of the Illinois .."entral
would be greatly enhanced by thg Pana
ma Canal. He further declared the 'real
value of the Illinois Central was little
apprecia ted by those most active In Its
management.
These and many other legitimate rea-
ns were given,' the minutes went on.
s to why the purchase ot stock should
made.'
Mr. Harrlman said he was the owner
of some o? the stock which he advised
the Union Tac1flc to buy and for that
reason he could not act. James Stillinan
and h, h. Rogers also said they were in-
terested and with
Mr. Harrlman were I
excused from votlnp.
C. Frlck headed
vestigate tue stock, with power to act.
The committee recommended the nur- i
chase of the stock and
w jvm done.
large block of the stock
was obtained
from Kuhn, LiOeb & Company and some
95.000 shares were bought alonjr with the
Railroad Securities Company, which had
this stock as its sole asset. The Railroad
Securities Company was owned by Mx
Harrlman. Stuyvesant Vlsh, It appeared.
was also a part owner of the Railroad
Securities Company. To purchase Mr.
Fish's interest, the Union Pacific stir-
rendered to him OS shares of Illinois
Central Railroad stock, valued at about
1.BOO.OOO, and jpald another $1,500,000 In
cash.
These facts were developed from the
minuter of the executive committee of the
Union Ja.-;iflc. extracts from which were
read by the wit nets at the reaucst of
counsel ror the Government, The deal. It
appeared, had been made by Mr. Har
man and was simply ratified and cc
firmed by the committee.
Mostly Katify Harrlman's Acts.
Counsel then placed before the Oomm
Bion, by means of the minutes, the fs
that most of the executive commit t
meetings consisted of the "ratification
and confirmation" of previous acts of the
chairman. At one of these meetings, the
chairman reported that, acting- as presi-
Cent of the Oregon Short Line, he had
boucrht the Baltimore & Ohio stock. His
action was ratified and the purchase con
firmed. Air. Harrlman reported that
bad contracted for offices for several ot
the officers of the "four Pacifies" in Chi-
cazo. His action was approved. Mr,
Harrlman reported that he had engaged
Mr. Lovett as general counsel of the
Union Pacific In 3904. This was affirmed
Me reported that he approved a pro
gramme of advertising; in which the
Union Pacific share was $200,000. His
action was ratified. He reported that
had entered into an agreement with t
Chicago & Northwestern on certain mi
ters, . This was confirmed, but the text of
the agreement did not appear in the
minutes. Counsel for the Union Paelflc
lid they would produce the agreement.
Mr. Harrlman reported at another
meeting that lie had borrowed certain
sums and made certain loans to various
ruilroad companies. His action was con
firmed, although what the loans wen
did not appear, counsel promised to fur
ish the information.
RK-i-lman's Great Borrowing Power
"Do you see a resolution adopted at a
meeting of the executive committee July
26. &06. empowering Air. Harrlman to
borrow money at his discretion for the
use of the company?" asked Mr. Sever-
ance.
of counsel to the Commission.
"Yes
"Will
you read It ?"
"it rollows in part; That E. H. Harri-
man. chairman or tne executive com
mittee, be and is hereby authorized
"borrow such sums of money as may be
equirtd for the uses ot tills company
to execute In the nanje and, on behalf of
his company
iwount.- so bo
iecurities of t
o such notes.'
his company a note or notes for the
arfiount.- so borrowed; and to pledge thf
securities of this company as collateral
Chairman Knapp "Do we understand
hat jrave Mr. Harrlman unlimited
authority to borrow any um of money
he chose ana pledge all of tne assets or
the companies as security for the pay
ment?
"That is what it says, " interposed Air.
Severance.
Just to Please Banks.
Mr. Millar declared, however, that the
resolution was passed to conform to the
requirements of certain banks that col
lateral be nlede-ed as security for notes.
empowered Mr. Harrlmari to pledge
the "securities as well as execute the
notes. The resolution was passed in July,
1906. Mr. Millar said he had no know
ledge of what sums might have been bor
rowed under this authorization.
Counsel for the Commission then es-
plained that this resolution was simply
nn ainendn-.ent of a resolution passed in
1902, authorizing Mr. Harrlman to borrow
unlimited Bums. The examination of Mr.
(Millar was not concluded when an ad
journment was taken until tomorrow.
CHAMPION OF SWINDLERS
FLO-EB, WHO Bl'SKOED SOCI-
ETY W0MEX, IS CAl'GHT.
Jumped Ball and Id UctecMves
Chase Through Many Lands.
At Old Tricks Agal n .
PHILADELPHIA, Jan. 4. Ft. O. Flower,
alias . t3. Dalney, who has been a fugri
tive from New York since 1303, where he
is Trained, to answer chaws of grand
larceny and swindling credulous invest
ors out of about $1,000,000 in alleged bogus
mining operations, was arrested here to
day.
Flower, who, the detectives say. is the
most colossal mine swindler of tlie age.
was captured in a big office building
where he has been located for some time.
Under the name of Professor Oxford, he
was seeking, according to the officers.
secure money from Investors by repre-
sentlng that lie had a wonderful chemical
process whereby he could make diamonds
and other precious stones and a. patent
brick.
The arrest of Flower ends a chase
through Mexico. Central America. South
America and Canada besides many points
in tne tjnitecx estates. koiiowihr lils
operations in New York, through which
many society women lost money. Flower
jumped J20.000 ball after Indictment in
aia.-. 1803.
DAY
1
in
Writes a Terrific Letter to The
, Oregonian.
o A Vrr -x i i- ITo !" A T T l n
VnYSj TET ITS NO MATTER
Syracuse Chancellor Defends Ills Po
sition - In Zefendliie the , Xrs
dalory Rich and Attacks
.R:fKsevelt. "
SYRACUSB UNIVER8ITY,
Tp- the Efl.ltor.)-it now , is Mime days
since you wrot your-.editorial upon
- "PHiabI rr.- Ty." 1 t arte- taese days
have elapsed you can ratl that produc-
tlon of yours' without humiliating shame,
you have the surest evidence within ycnir-
i r i nan you are tne lap c man on
Pacific Coast to- discuss any . question In
its moral aspects.
An unfair man. a man whb withholds
the tr7th or rafts In a, statement, a mart
who makes misstatements of fact. Is hard-
the man to accuse another of degeneracy
upon any principles of ethics now ac
cepted among civilized men
Had you had any desire to be, fair you
would have told your readers where they
could find the entire article, tn author
or which you blackguard, so ' that they
mlKht Judsce of Its merits from-"the article
and not from your quotation or 11 words
and your scurrilous abuse.
jr course. you are in the e-jstomary
line ot the partisan papers from which
the Intelligence end thoughtfulness of the
age. however. Is making Its appeal and
agalnflt which common decency makes its
protest.
Personal abuse is not argument and the
people do not accept it as such. Th
jrratincation of a low. coarse passion of
resentment Bnouici not expose Itself in-
uecenuy nerore me dud c. .Reflect, mv
irlend. that b' berating me. you rate
yourself and your rating Is so low that
your opinion can at the most only excite
contempt Indeed, such amused contempt
that t''fjuld not take the time to address
you but for the duty of holding up before
you a. .mirror Into which, evidently yo
nave not looKea lately.
The editorial writer of your type passed
ut lon- ago. w'lth here and there a
urlous specimen of adolescence or senil-
ty remaining- to illustrate the lower
journalistic series from which Journalism
nas ascended.
Most men In our great editorial posi
tions now are' educated, thouehtful of a
profound sense of moral obligation, fair
and grentlemanly.
The newspaper black
guard 4m as i-ar-e
is the reptilian spec!
mens that adorn
our Natural Hlstory
museums ana wtiicU cause us to con
grahrlate ourselves that such things have
ue?n suppiantea on the earth by men.
Recall the fact which you seem to have
never k?0ffn or have forgotten that this
-s a 'country in which free speech and
iree aiscusson or an orderly character
are permitted to the humblest citizen and
indeed are demanded by the very char
acter of a democracy.
Thoughtful men. who are worthy
editorial responsibility, will welcome
tnings with which they do not agree tha
the truth upon which men should agree
"y xouna.. i ney will not gnash
themselves in a blind rage against a rer
son. They will address themselves to the
..ni. ji j .. . . , . i 1
suujeoi aiscussea ana snow the wrong
it or the better way. This is what
have a rlariit to expect of men of char
acter and self-respect.
t. u. i . . 1 . ...
it nan napiKMiea mat nunareds or oa
pers have come to my office since las
May when- I wrote my first- article upon
tendency of the times. In not one
of them have I found anything so lack
mer in self-respect, so vituperative an
nomous as your h.VSterica.1 editoria
can do "Pitiable Ur. Day" no harm.
It Is a case In which the blow react
upon the striker. It is s
angry animus that thousrhtf
see in it only the picture c
excited and distorted mind.
F orty years asco I used to see The rall
vregonian ani dally reed it. If 1 were
to take its "degeneracy;' in Belf-respeqt,
courtesy and the refined qualities which
most men covet in these days. I should
be pessimistic over the world's progress
in the amenities of life. But happilv I
believe that this scurrilous diatribe does
not represent either the newspaper age
or i ne uaiiy Oregonian.
I saw evidences four years a iro in Port-
land and along the Columbia ot the
abundance of our best forms of clvlllza-
tlon. a, city the rival of proud comparison
with the best we have in the East, a
people who gave me no intimation that
there was anywhere among them a man
in a grreat and honorable position who
would write down his 111 mannere and put
them into print, whatever might be the
possibilities of spoken language upon
sudden provocation. Apparently the new
Oregon has brought to it some characters
which we did not have in the old Oregon.
Xov as the burden of your editorial
aberration and hysterical ranting is the
moral degeneracy of Tr. Day. and as
you put yourself forward as a great
moral teacher, will you kindly 6how us
in what particular you find your evid
ences of this negenera.cyT T f It were" in
tellectual lapse. might be more em-
harrasslnj to analyze because a man Is
not always the -best juflg of hia mental
state. even you. -probably, are not capable
or appreciating the true value of your
editorial as a proud intellectual produc
tion of the 30th century mind! But moral
ly you will speak with more assurance
because it is something- you assume to
have and to know out. At any rate,
you can appreciate, 1 see, such broad dis
tinctions as are given to us by Robert
Loul Steverson.
Now the offendine Dr. Day ventured to
write for Leslie's Weekly some thoughts
upon certain economic and current ques
tions which are unpopular with certain
political partisans and misguided peo
ple who are led astray by frenzied maga
zines and yellow journals. , Was this an
Immoral pur-pose possible only to one who
had- fallen from grace? You give 14 words
from my article. Are these words im
moral or do they express anything im
moral? They are almost exact quota
tions of the utterances of a rabid so
cialism hurled from anarchistic platforms
and papers every veek.-a socialism that
i making its way Insidiously In this
country for the first time into places or
power and influence. J It an Immoral
thing for a. man who believes that tip
sees this to lilt a note oi wnniiiin. iu
show the peril and wickedness of such at
tacks upon the sources ot our commercial
institutions? ;
It has been urged that "swollen for
tunes" are threatening - the country. Is
it an immoral act to ahow that "swollen
fortunes" are not a menace but are in
logical, and rational proportion to the
times. that they are no more a menace
than swollen wages or swollen salaries?
For you to state that the words you
quote are not common, phrases or that
they have no relation to utterances of the
President shows that you are incapable
Of discussing the question because or lack
of knowledge or blind prejudice. If YOU
say that such words are not current with
the class to which. T refer and that they
have no logical connection with such ex-
pressions of Mr.. Roosevelt, as "swollen
fortunes." and of others as "predatory
wealthy tne "octopus,", "sTrindiri oor-
porations" ' and "criminal millionaires"
quoted from your own fa Per. you stats
that which the people know is not true,
whatever you say about it.
In the leading editorial ot the ew xoric
un of December 28 occur these words:
The rich are held up to universal ex
ecration and are assailed in the pillory
which Mr. Roosevelt has built for tnem.
When the President of the United States
nvetghs against wealth and casts about
Mtblioly for means to - pull it down, he
Invites violence." The Sun says further
hat "the people derive their ncw-iouna
atred of wealth" irom tne rrpsmciu.
The editorial Is a fearlefa exhibit or tne
whole cue throughout -to wtiicn A ma a a
reference.
Mv contention is therefore that thfi
words whk-h you Quote from my article
are not untrue to rect- They are cur
rent and common and their source and
.here I locate It. i)0-
nspJratlon I
s wl
lalism has
nforccment
at last found a
mightv re
ar belnB
ami the people a
swept along:
bv It under the
impulsive
pilot of a blind and bewildered reform
far out of the channel that has been
buoyed safetv for centuries" by unalter
able principles. It Is a case In which you
Have not Krpt lip Wltn current nenis.
What possible Immorality call more
bo for a citizen of this TtepuOiic to urpe
these things upon the puhlle attention?
nflecd, It he eto"" aione wun n non
convictions as men have been rorcea 10
do too many times in t'n in world's hiftory.
the justice or his cause woma
llim against partisan clamor and class
hate. .
There is a. craxe to tinher all forms or
corporate business. This Tact la too cui-
rent to be denied, whoever is responsible
for It. In what Is the Immorality of try-
ine to Bhow that this Is opposed to souna
economic principles and the practical in
terests of the people?
Roferenre Is made In my article in m-
Ifi'i "Weeklv to the incompetency of Con-
ayressmen to reffulate swollen fortune-'
t m a v- lie miKtatcen aiinouKii - o i-
reasons I believe that I am not. is it
an immoralits- to discuss such a question
I referred to the influence oemg exert.--.
upon judges and courts, I am prepare
to give dates and names. You have tnem
in -emu- nfTic-. i r von aenv t i-r-m
Permit me to quote again from the 3Jew
York Dally Sim Of December 25: "To
whom do we owe the growing contempt
r-.r- law and the widespread impa
tience with Its proteases and disrespect
of Us officers that we see throughout the
country? Can a more shocking or dan-
gerous example be set before the people
than that or the President of the United
States rebuking; an honest Judge for
rendering an opinion according to the
-. ncrnrdlnt; to his conscience.
ivhih nninlon was distasteful to him, the
President, personally?"
Tn view of the fact that these Judges
are appointed by the President and must
innb- r. him Ttir- continuance In office an3
nromotlon. and In view ot the fact that
such executive usurpation of the COUrtS
la destructive of one of the co-ordinate
branches of the government,
moral and degenerate for a man to utter
a warning of the lerll. to at least Ofll
atanrton of rhe neoole to it? Yours
must be a. strange Idea, of the privlleEe of
citizenship in a land where the people
Bovern.
Now these thinsra and a note of warn
Ing of commercial cormequence of thes
a 1 1 i-ia ni-tVin rnrnnraifi wealth which ha
brought your Oregon Into the center of
our country and made commerce lor you
with aU norts of the. world, are the sum
of my offending. the evidence
ripen. Mack moral degeneracy!
Such a charge smells of the must and
mold of ases lonft gone when it was im
moral and Irreligious for a man to differ
from others upon essential questions, to
hold nv nninlon exceDt in the formula
labelled and furnished by the self-consti
tuted custodians of their assumed truths
TTav we In Portland a stray rcnc o
those times, a man to whom all other
disacreelne are degenerates
Or is it reallv a fact that I have been
immoral In discussing a matter of cur
rent interest and thought, entirely wltn
In the limitations of law and good man
nera neither libelous, nor vulgar, neithe:
disrespectful nor ungentlemamy, with no
reference to the President that Is not
nermttted and must be permitted to every
ritlzen whose vote helps to make Presl
dents, and With the liberty granted
ail citizens of discussing the limitation
of the men who represent us in
ti- ale i hodtes?
It Is the most wrenching to my moral:
of anything that I have experienced to
treat with patience and cnarity a tnm
iiv.Din..n n.nrl sillv as this nitiable edl
tnriai From this intellectual and moral
editorial travesty out of date and out 0
: niaoe. which so misrepresents moraii
...i intiioctiinllv the oii webfnot conn
trv for which I cherish unfailing prid
and affection. I appeal to my friends
there who. knowing me from my ooynooi
up. will Know how to judge oecween
Your opinion is of small matter to
f'hanrellor ot Syracuse' University.
or
their opinion, when they shall have read
1 1 - V arucie. A am connoent.
JAM. ES It. "DAY.
CONSTABLE MAKES A RAID
Ten Inmates of Tony Arnaud's Dive
Are Arrested.
After a few days immunity from Inter
ference by the authoritiea the inmates of
the disorderly houses on North Fourth
Street were again arrested last evening,
when Constable Lou Wagner swooped
down on the dive conducted by Tony
Arna.ua at Fourth and Everett streets and
took ten women Inmates Into cuatody.
They were released upon depositing 51400
bail.
The Constable acted upon warrants is
sued from Justice Reld's court, upon the
comnlaint cf J. Hoffman. The raid is
believed to hav? been instigated by vome
parties connected with the notorious Paris
Mouse, -which was closed, several- weeks
ago, and since that time several efforts
have been made to close the entire lo-
ealitv. The most recent instance waa the
warrants issued for a large number of
disorderly places eworn out by a man
named Michel, which he afterwards failed
to prosecute. Last evening's raid by the
Constable was to have been more ex
tensive in its scope, but some person suc
ceeded In beating the official to the scene
of the proposed arrests and warned the
inmates, who promptly closed up ana were
not to be found when nagner arrived.
riXKS CtJREU JOT S TO 1 TVAYS.
FAZO OINTMENT ia gutrmntMO to cure any
caae oz iicning. uiina, tJieeaing or -roiruaim
Piles tn 6 to 14 dys or money rer 4. BOa.
Yow May
Nee jit
Ask your doctor about the
wisdom of your keeping Ayer's
Cherry Pectoral in the house,
ready for colds, coughs, croup,
bronchitis, If he says it's all
right, then get a bottle of it
at once. Why not show a
little foresight in such matters?
Early treatment, early cure.
WttmblUhth.f9rina.lu
of all our preparations.
J. C ATI" CO.,
XiOWtll.MUI.
BOYS ROB BIC LIIO
hicago Football Team Takes
All but Bow AnGhor.
RAIL OF WOE IN SEATTLE
Xothlns Txose Was teft Behind
"W hereter t iis Visitors II .d
Been Entertained in the
Pnget Sound City.
SEATTLE. Wash.. Jan. . (Special. -
About tne only ttilnj aDoarrt tho Hill
mpr Minnesota that the Chlcaeo foothall
team is not accused or hnvin talten away
with them is the li k how anchor, and
that was tred'fast.
Hill officials declared today that when
the Fiastemers were entertained aboard
ho bfsr liner they carried ofT as souvenirs
everything that was found about loose.
and from Moran Brothers, conies tha
story that the ChJcaRoans raided the
shipbuilding works and even 1 ooK away
hammers that built the battleship Ise-
braska.
Registrar Herbert CVmdon. of the State
University, found that 38 lockers bad been
broken Into and raclnaj- shoes. boxing
bloves, athletic suits and other valuable.
wer taken. Condon managed to Ret back
hair an express wafton load of his -valuables,
hut no one elfe recovered anythins.
The Cliicatro team left a, trail of de-
spoiled supply houses that has aroused a
ovm among: those mamifactuririK and
tippina- houses that aided In the team's
ntertalnment.
Prior to the defeat of New Tear's day
It develops today, that the Chlcar-roans
were ideal quests. Thereafter the bitter
ness against a "Jay town" developed.
AT THE THEATERS
What tfe-s 1th Jkaeata Srar.
"MILK WHITE riiACT TONIGHT
Two Performances "Will Close: Hoyt
Farce at Baker,
4'A Millc "Whit Flair." which has created
ch m. acnvatlon all weefc Rt the Baker The
ater will be seen in matinee today and the
final performance given toniht, it in thtt
snappiest, brightest comedy ever produced
here and the bl- audience n te is.ugta
heartily at It all wee-k. Matinee today.
"Old Clothes Man" Matinee Today.
Tin- Old ("lothen Man" will veen tr
penial matinee at the Rmplre today nnti
those who have not had opportunity to wit-
ness the professional beiln? between Shir-
key and Doughtrty can
e it today.
At Hie Lyric, "Run to Earth."
sensational play or villainy, virtue, romance
and comedy that has proven tto acceptable
an offer in e at the Lyrlf this week. All
those who have been fortunate enouh to
Bee It are loud In their applause.
. "Moths" at tlie Star. .
"Moihs" will be repeatud tonig-ht and to-
morroft- night, with matinee this afternoon
and Punday, at the Star. Thin is th best en-
tertinmer.t the Allen Stock Company ban
Klven and it Is one which hats wo n ne w
friends and admirers (or the organization.
COMIXG ATTRACTION'S.
"Kerry Gmv" at Helllg.
TPh advance sat U will open tomorrow
I Sunlny morning at lrx orTl -i- tho T I i 1 1 :
Theater, Fourteenth and Waetilnyton streets,
for the clever Irish comedian And sinarer.
A Hon T3oone. who eomss to the above the
ater next Tue-aday and "Wednesday night.
.January R and 9. In Joe Murphy's famous
puccefs "Kerry Cow." The first night, Tues
day, will be under the amplcfi of th An
cient Order ot Hibernian, of this eltj-.
"Suitnn of Suiu" Se.tt Week.
Oeorsre Ade'a tuneful muslcal-eemetfv huc
ceB. -The Sultan of Suiu." will be tn at
traction at the Helli Theater, next Thurn-
day, Friday and eaturday nights, January
10, 11. 12, with a special matin Saturday.
The advance seat aale will open next Tum-
"Old Heidelberg," Baker Toniorrovi
"Old Meltlelberit." with it students in
their capa and gowna, its catfliy ioiu;i, and
otiier attractive features, will open at th
Baker Theater tomorrow afternoon for &
week'n run and promises to be one of th
moot prfct productions evr letn In Port
land. Sunday matinee. 2:15.
"Tilly Olson," Swedish Dialect Story
Tlllj- Olifin" with her quaint Swedlah
dialect and her company of good players
will he in Portland toowrrow nnd play
EN
I Will Cure
You
When I have accepted yeur cssa
tor treatment you ma loolc for
ward to a complete and perm a -
nnt cur, and. with the very first
treatment the curing will begin.
This la pretty definite talk upon
what In commonly regarded . -- . n
uncertain and speculative matter.
But I am in a position to speak
definitely and positively. With me
the cure of men's diseases Is not
uncertain or npcutatlve at all.
I have treated so many esses
that I know Just what I can do
and what I cannot do, and I never
promise or attempt too much. I
accept no case in which I have
doubt a to my anility to cure,
and results are always equal to
the claims I make. Following
are some of the diseases I cur.
and reasons why my cures are cer-
Contracted Disorders
In no other ailment peculiar to men is
a prom pt and thorounh cur so sn.
tial, Contracted, disorders tend to work
backward until the mot vital nerve
center bepom Involved In the inflam
mation. Then follow a chronic ta
that stubbornly resists all ordinary
treatment. Safety demands that every
vestige of infection be era-rlleated at the
ea.'lieitt possible moment. My treatment
in thoroutrh. The remedies employed
have a more positive action than has
ever before been attained, anrt so per
fect Is my method of application that
even chronic ease yteld completely.
M
COXSULTATION AND ADVICE FREE.
- D R. TAY LOR co
234 Morrison Street, Corner Second, Portland, Oregon
HI
Holn A. M. to 9 P. M. Snndaj-a 10 to 1.
Patlntn living; out of the city- and comma to Portland for T t m rut -will
be furnished ivltli fine room trre of ciiarf. Chock your trunks direct to I34-
Morrison utreet.
A HEALTHY HAIR:.
Srf the rtl f fere rice breea m
JifalihT hair root nnd one that is not
bealihv. Ia (t a.T wonder that (Un
seat halm .11, mil T
The CAl'SK ot the trouble nin.t
remove il before the EFFECT will
reisr. There rai be no pprmineBt
relief until the dnndrtiff Krni la
drfttrofed with Xewbro't Hrrplclde.
ThouNanrt of peovle testify (o the
almoit marvel out reaiiK a reffWeJ
from IlrrpU-ldr. 1 enrea daadrvff,
baiflntH, ITfUgtiani tonc, sFopi
HrblnK aim opt t inatantly.
t 4n)mtom. 9nif. lOv 1 n . f m
to THE HERP1CIDE CO., Dept. Xi
Detroit. Mich., for a aamole.
FOR SALE
AT ALL DRUG STORES
TRAOC MARK
Atr.UHHEALTHY'KAIIb
week's engagfimrnt at th Empire. Th title
role of this great production Is takn ly
Misg Frli-knon. herself a na : I vb of Swd;i.
and she Is uald to be Imply perfection in
the prt- '
Next I.j ric Sill,
Ttie attraction at
"Harbor liKlits.
tha Iyrlc tor. next
week, eommrn.lng Monday aftrnafn. will
be that
i-iirhta.--
f amouB nautical drama. "H ar ho
one or the mont rrallatic anl en
plays ever pre-aenteo. Ira America.
jrroesli
lias been nccurefl after long nepotmtionj by
Manaa-erBKeatinut & Flood.
Tlie Iittle Minister" Next Week..
Maud, Aiamg made her erifttest iUCf,i
aa I -arty Babbie in "The I.ittl Minister."
and this rol will be playetl - "Verna Ft
ton when the Allen Stock Company produces
the comedy next week at trie star Theater,
AT THE VAVDEV1LLE THEATERS
Great Act at the Grand.
One or the most successful vaudeville mr-tn
ever sheltered in the Grand will clowe its
engajement tomorrow night. This u th
fterobfttle dancing team at Cook md Rdth-
ert. who for three year were a rorCMfl in
the varieties and music halls of Europ and.
England. Usual Sunday perform ances-
Good Show at Pantges.
The lax holiday aftermath " is not aTer-
inj the attendance at ranta-jes Thenter, for
the word has (fone out that thfta Is tha bt
show fn many a day on hand at that theater.
Adonis Fnblr. In his dezxllne. spectacular
contortion g-ymnaBtic act is the leading at
traction. Today and tomorrow conclude the
tin.
Weak. Weary, Watery acres Wficoma
Murine Eye Remedy., It aoothea. It cures.
S1O.00
is My
Fee for
Cages
YOU
Pay When
Cored
DR. TAYLOR
Lestllac SpeelalUt.
Varicocele
This moet prevalent of all r!leaes of
men is also the most netrlei-t-d. "Uhr
t h .-ourh dread f th harnh meth cds oC
treatment commonly employed, or
th;oufh th- Ignorance of the grave dan.
gem that accompany the dinegfi. Aa
varicocele interferes directly with the
circulation and process of waste and re
pair throughout the generative organs.
the necessity of a prompt and thorough
cur cannot be too forcibly emphasized.
I cure varicocele in one weeic by an
absolutely painless procer". My ctirea
are thorough anci ahaolutety permanent
end are accomplished without the use
of knife, ligature, or caustic.
"warn knee. hydroe?!!?, epeclflc blood poison
an all men's diseases.